Blair decision challenges Cameron's green agenda

Tony Blair's decision to go nuclear creates a major challenge for David Cameron, the Conservative leader, who has been basking in positive publicity about his green credentials.

Mr Cameron has been sitting on the fence until now, appointing a declared opponent of nuclear power, Zac Goldsmith, to co-chair his "quality of life" review, with John Gummer, the former environment secretary who has Sizewell A and B in his Suffolk Coastal constituency.

Mr Goldsmith and Mr Gummer are said to be willing to be flexible and Mr Gummer has criticised nuclear power in the past. But one source close to the review predicted the party would ultimately come out in favour of limited replacement of nuclear stations, in conjunction with extra investment in renewable energy.

Mr Cameron's "Vote Blue, Go Green" slogan served him well at this month's local elections. But although nuclear power leaves a smaller carbon footprint than coal-fired stations, the environmental lobby has traditionally been vociferously "no-nukes".

Alan Duncan, the shadow trade and industry secretary, who is carrying out his own, separate, review of energy policy, issued a splenetic statement last night. But he, too, is on the horns of a dilemma.

"It just proves that the energy review has been a smokescreen all along," Mr Duncan said. "[Mr Blair] has humiliated his new secretary of state for trade and industry and he has irresponsibly broken this down to a pro- versus anti-nuclear argument. He should be looking at all generating methods with equal vengeance.

"What on earth is the point of an energy review, when all he ever wanted to do was to say that you will be having nuclear power whether you like it or not?"

But Mr Duncan's response itself indicated the nervousness the party faces on the issue. He added: "The Conservative party is committed to an open-minded energy review and a belief that tackling climate change is the most important issue on the political agenda today." The Tory review will be published in the summer.

Mr Blair has not been able to erode Labour's traditional suspicion of nuclear power. The leftwing Labour MP John McDonnell said last night that the prime minister had decided to pre-empt the energy review and try to "bounce the government into a decision on behalf of the nuclear industry".

He added: "This announcement, made not to parliament or the parliamentary Labour party but at a dinner of New Labour's friends in the City, flies in the face of all consultations and democratic procedures and completely ignores the widespread opposition within the party."

Ed Davey, the Liberal Democrat trade and industry spokesman, told Channel 4 News: "He [Mr Blair] has bounced his own ministers into this decision. This doesn't smack of proper leadership, it smacks of desperation. Clearly the prime minister under pressure wanted to create some sort of legacy for himself. The danger is it will be a legacy of a high nuclear tax for every family in the country because we all know nuclear is not economic."

Industry was supportive. Sir Digby Jones, director-general of the CBI, said: "The prime minister is absolutely right to put nuclear power firmly on the agenda for the future. The government must take brave decisions as a result of its energy review, to help deliver to business and consumers secure and affordable power for the long term that doesn't come at the expense of the environment."